Developer in Deer Valley requests it be allowed to split units with lockouts

A project known as the Stein Eriksen Residences is under construction in Deer Valley. The developer has requested City Hall allow a change to development approval at the site that would allow lockout units, a lodging category that uses interior doors to split individual units into two or more units. Christopher Reeves/Park Record

The developers of a Stein Eriksen-branded project in Deer Valley have asked City Hall to allow a change to the hard-fought entitlements at the site, indicating that they are not seeking additional square footage but instead an alteration to the layout of the inside of some of the buildings.

The project is known as the Stein Eriksen Residences and was referred to as North Silver Lake during its lengthy approval process and subsequent permit extensions. The Stein Eriksen moniker was attached to the development late last summer as a part of a deal between the developer, called Regent Properties, and the company that operates Stein Eriksen Lodge and The Chateaux Deer Valley. Under the agreement, Stein Eriksen Lodge Management Corp. will operate the property.

The developer wants City Hall to permit lockout units within the project. A lockout is a category of lodging that uses interior doors to split an individual unit into two or more units. Lockouts are popular with owners intending to put the units in a rental pool. They are used elsewhere in Park City.

Rich Lichtenstein, a representative of the developer, said in an interview the reworked project would have up to 125 lockout units should the change to the approval be granted. The lockout units would be split between the buildings situated in the interior of the site, he said.

The 54-unit project is envisioned as a mix of houses and condominiums. The lockout units would not include the houses.

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The project is under construction off Silver Lake Drive close to the Evergreen and Bellemont neighborhoods.

Lichtenstein said lockouts better fit the management plans for Stein Eriksen Residences and the wishes of the owners of the units.

"It accommodates a variety of different utilization of space," Lichtenstein said.

He said the development would be the "exact same project" with the exception of the doors between the units if the change is approved. He said the developer is not seeking additional square footage, a taller building or more parking spots.

In an August letter to the Planning Department, Lichtenstein said the agreement with the Stein Eriksen firm "provides a unique and unusually qualified team to execute on-site management of the overall condominiums and homes including the lockouts . . . " The letter indicated that it was too early to address the plans for management and the prospects of lockout units when the original development application was filed.

"With (Stein Eriksen Lodge) managing the project, we believe that this modification will allow for a more vibrant and stable development enhancing the public's access and enjoyment of the greater Park City, Deer Valley area," the letter said.

The Park City Planning Commission must approve the change, which would be a modification to the existing permit allowing the project. The Planning Department is conducting its initial review of the request with the anticipation it could be brought to the Planning Commission as early as the beginning of November.

A person with a home close to the site opposed the North Silver Lake development approval at various stages, challenging City Hall and the developer on topics like the calculations used to determine how much of the site would be left as open space. Lisa Wilson has doggedly pursued her case, but Park City leaders have typically sided with the developer.

Work at the site restarted last summer after languishing to the point it required approval from City Hall to continue under the same development permit. Lichtenstein said a model unit is anticipated to be completed by the end of 2013, saying he hopes marketing efforts and sales will start during the winter. He said residential construction could start in the spring, depending on sales.

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